Travel boom despite crisis: Germans spend 85 billion euros on vacation!

Travel boom despite crisis: Germans spend 85 billion euros on vacation!

Germans' desire to travel remains strong even in times of economic uncertainty. Various analyses, including that of ITB Berlin, show a robust development of the German travel market for the 2025 summer season. Despite ongoing inflation and the associated rising cost of living, the population plans to spend around 85 billion euros on travel services in 2023, which corresponds to an increase of six percent compared to the previous year, as [Tophotel] reports.

The organized travel market in particular, including package and modular tours, is experiencing strong growth. Holidaymakers are prepared to invest almost 40 billion euros in travel packages, which corresponds to an increase of around seven percent. The warm water destinations on the Mediterranean, with Turkey as the top-selling flight package holiday destination, are of central importance for the industry. Spain and Greece follow in second and third place.

Booking behavior and market trends

Overall, booking trends show that cheaper travel destinations such as Bulgaria, Tunisia and Egypt are becoming more popular. At the same time, less established destinations in the Balkans, such as Montenegro and Albania, are seeing a moderate increase in bookings. However, this shift contrasts with developments internationally, where the general sentiment in the travel sector is pointing to a deterioration, as [ITB.com] points out.

According to the ADAC travel monitor, around 32 percent of Germans are currently concerned about paying attention to costs when planning their summer vacation. This is a significant increase compared to 17 percent in 2022. The cost increases are putting a strain on households' disposable income, but interest in traveling remains undiminished.

Sustainability and technological developments

The topics of sustainability and climate risks are becoming increasingly important in travel planning. Currently, 18 percent of those surveyed take the risk of natural disasters into account when planning their vacation, which corresponds to an increase from 14 percent in the previous year. Nevertheless, a survey shows that only around a fifth of travelers are willing to pay more for sustainable offers. This highlights the conflict between expectations and reality when it comes to environmentally conscious travel.

The industry is facing new technological challenges. Digitalization is fundamentally changing booking behavior: Around 66 percent of all travel bookings are already made online, with a forecast of over 70 percent by 2027. Artificial intelligence (AI) plays a crucial role here, as it is being increasingly integrated into booking processes with the potential for efficiency gains.

Nevertheless, the industry remains confronted with various challenges. According to experts, the responsibility for sustainable developments lies primarily with the travel companies themselves. Opportunities to regulate visitor flows and reduce undesirable tourist activities could help to improve both environmental protection and the quality of stay for travelers.

In summary, the German travel market appears to be extremely stable. While uncertainties are growing internationally, optimism in Germany remains unbroken, which is due to a strong need to catch up as a result of the corona pandemic and the high priority of vacation within many households. Further growth is forecast, although regional differences and global factors all need to be taken into account.